Written by Mark Munnelly ACA, Director, Cubed Consultancy · Updated November 2026
How to change accountant comes down to five steps: appoint the new firm, tell your current accountant, allow a professional enquiry, move your records, and update HMRC and Companies House. Cubed Consultancy, ICAEW chartered accountants in Harpenden, Hertfordshire, explains each step in this guide. You will also see what your old accountant has to pass on, and how to time the move so no deadline slips.
Many business owners in Harpenden, St Albans and across Hertfordshire put off changing accountant because they expect it to be awkward. In practice, HMRC, Companies House and the ICAEW set the rules out clearly. The accountants also handle most of the work between themselves.
Key facts on changing accountant (November 2026)
- Clients have the right to choose their accountant and to change accountant if they want to (ICAEW).
- Your old accountant has no power to give or refuse “clearance” for you to move (ICAEW).
- A new HMRC agent authorisation replaces the old one, so you do not need to remove your old agent first (GOV.UK).
- A private limited company must file annual accounts with Companies House 9 months after its year end (GOV.UK).
- Since 18 November 2025, company directors have had to verify their identity with Companies House (GOV.UK).
How do you change accountant in the UK?
You change accountant in the UK by appointing your new accountant, telling your current one, letting the two talk, moving your records, and authorising the new firm with HMRC. You stay in control at every stage, because each step needs your consent.
In order, the steps usually look like this:
- Agree terms with your new accountant. They send an engagement letter setting out the work, the fees and what they need from you.
- Tell your current accountant. Write to say you are moving, and that you agree to them speaking to the new firm.
- Let the new accountant make a professional enquiry. They write to your old accountant to ask if there is anything they should know.
- Move your records. The new firm asks for what it needs, such as your last accounts, tax returns and working papers.
- Update HMRC and Companies House. You authorise the new accountant as your tax agent, and they take over your filings.
The accountants handle most of the letters between them. Your part is mainly giving consent and approving the new authorisations.
Do you need your old accountant’s permission to change accountant?
No, you do not need your old accountant’s permission to change accountant. ICAEW guidance says clients have the right to choose and change their accountant. It also says the existing accountant has no authority to give or withhold permission.
People often call this step “professional clearance”, and ICAEW describes that term as a misnomer. The decision to take you on belongs to the new accountant alone. What the old accountant provides is information, and the next two sections explain what that covers.
What is a professional enquiry when you change accountant?
A professional enquiry is the letter your new accountant sends your old one, asking if anything should affect the decision to take you on. ICAEW members have a duty to make this contact before accepting a client from another accountant.
ICAEW guidance says the new accountant should:
- explain their duty to contact your existing accountant, and ask your permission, preferably in writing;
- ask you to confirm the change to your existing accountant and allow them to cooperate;
- write to the existing accountant asking for anything that might affect their decision.
Your consent matters because your affairs are confidential. Without it, your old accountant usually cannot reply. If there is nothing to report, the old accountant should say so. ICAEW also expects them to respond promptly.
What does your old accountant have to pass on when you change?
Your old accountant has to deal promptly with any reasonable request to transfer your records. They also have to share information about your affairs if its absence could harm you and you cannot supply it yourself. Both duties come from the ICAEW Code of Ethics (ICAEW).
A few limits are worth knowing:
- There is no duty to resend anything you already have, such as signed accounts or filed returns. Keep your own copies so you can hand them over directly.
- Unpaid fees are no reason to ignore a professional enquiry. In some cases, though, an accountant may keep certain records until fees are paid.
- ICAEW says this right, called a lien, exists to prompt payment. It is not there to pressure a client with a genuine fee dispute.
The most useful items to gather are your last statutory accounts and your last corporation tax and Self Assessment returns. VAT returns, payroll records and log-ins for your accounting software help too.
When is the least disruptive time to change accountant?
The least disruptive time to change accountant is usually just after your financial year ends, before your old accountant starts that year’s accounts. One firm then handles each year from start to finish.
Deadlines carry on whoever your accountant is, so check where you stand before you move:
- A private limited company files annual accounts with Companies House 9 months after its year end. First accounts are due 21 months after the company registered (GOV.UK).
- For most companies, corporation tax is due 9 months and 1 day after the accounting period ends. The Company Tax Return is due 12 months after it ends.
- Self Assessment online returns and payment for 2025 to 2026 are due by 31 January 2027 (GOV.UK).
You can change a few weeks before one of these dates, but it puts pressure on both firms. If a deadline is close, letting the current accountant finish that filing is often simpler. You can then move straight after it.
How does HMRC know you have changed accountant?
HMRC knows you have changed accountant when you authorise the new firm as your tax agent, and that authorisation replaces the old one automatically. HMRC’s guidance says any new authority replaces any existing authority (GOV.UK).
The method depends on the tax. For many services, your new accountant sends a request and you approve it online. You can do this in your business tax account, or through a link HMRC calls a digital handshake. Where neither works, HMRC still accepts the paper form 64-8 for some services, including Self Assessment, individual PAYE and tax credits (GOV.UK).
One detail catches people out. HMRC says removing an old agent online from VAT or employer PAYE does not stop them dealing with HMRC by post or phone. To end that too, you write to HMRC’s Central Agent Authorisation Team. If you are joining Making Tax Digital for Income Tax at the same time, read our guide on how to prepare for Making Tax Digital for Income Tax.
What do company directors need to do at Companies House when changing accountant?
Company directors changing accountant need to check that every director has verified their identity with Companies House. Without that, the company cannot file its confirmation statement. Verification became a legal requirement on 18 November 2025, and existing directors give their personal code in the company’s next confirmation statement (GOV.UK).
An accountant registered as an Authorised Corporate Service Provider can verify a director’s identity for them. To register, the firm must have a UK anti-money laundering supervisor. When you change accountant, ask whether the new firm will handle verification and your Companies House filings. That way nothing falls between the two firms.
What should you check before choosing a new accountant?
Before choosing a new accountant, check their professional body, read their engagement letter carefully, and agree exactly which work and deadlines they will take on. You can look up ICAEW member firms on the ICAEW’s public directory.
Questions worth asking at the first meeting:
- Which filings will you take over, and from which year?
- Will you handle my HMRC authorisations and Companies House filings?
- Which accounting software do you use, and will I need to change mine?
- How do you work out the fee, and what does it leave out?
It is also worth asking how the firm prefers to work, whether in person, by phone or by email. Our chartered accountants in Harpenden work with owner-managed businesses across Hertfordshire, and with clients across the UK and overseas.
Frequently asked questions
Can you change accountant in the middle of the year?
Yes, you can change accountant in the middle of the year, because no rule ties you to a firm until your year end. The practical step is agreeing which firm prepares which year. Both firms then know where their work starts and stops, and no filing gets missed.
Do I have to pay my old accountant before I can change?
No, you do not have to pay your old accountant before you can change, and unpaid fees are no reason for them to ignore a professional enquiry. ICAEW guidance does say an accountant may keep certain records while fees are unpaid. Agreeing the final invoice early keeps the handover moving.
Will my old accountant tell the new one why I am leaving?
Your old accountant will only tell your new accountant anything about you, including why you are leaving, if you give consent, because your affairs are confidential. With consent, they have to answer the professional enquiry honestly. If there is nothing the new accountant needs to know, they should say so.
Can I change accountant if my tax return is late?
Yes, you can change accountant if your tax return is late, but penalties keep building while you move. The quickest route is usually for the new accountant to tackle the overdue return first. They work from the records your old accountant passes on, then turn to the current year.
If you are thinking of moving your accounts, send us your last set of accounts and your latest tax return, and we will tell you what needs to happen and when.
